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Eco-innovation for enabling resource efficiency and green growth 363 Table 1 Eco-innovation examples examined through the eco-innovation framework Industry and company/association Eco-innovation example Automotive and transport industry The BMW group Improving energy efficiency of automobiles Toyota Sustainable plants Michelin Energy saving tyres Velib’ Iron and steel industry Self-service bike sharing system Siemens VAI, etc. Alternative iron-making processes ULSAB-AVC Electronics industry Advances high-strength steel for automobiles IBM Energy efficiency in data centres Yokogawa Electric Energy-saving controller for air conditioning water pumps Sharp Enhancing recycling of electronic appliances Xerox Managed print services OECD 2010 These complex, advanced eco-innovation processes can power possible “system innovation”—i.e. innovation characterised by fundamental shifts in how society functions and how its needs are met (Geels 2005). Although system innovation may have its source in technological advances, technology alone cannot make a great difference. It has to be associated with organisational and social structures and with human nature and cultural values. While this may indicate the difficulty of achieving large-scale environmental improvements, it also hints at the need for manufacturing industries to adopt an approach that aims to integrate the various elements of the eco-innovation process so as to leverage the maximum environmental benefits. The feasibility of their eco-innovative approach would depend on the organisation’s ability to engage in such complex processes. 4 Applying the eco-innovation framework for good practices To better understand current applications of eco-innovation in manufacturing industries, a small sample of sector-specific examples were reviewed in light of the above framework. Examples from three sectors chosen for this preliminary review: a) the automotive and transport industry; b) the iron and steel industry; and c) the electronics industry. The examples draw mainly on the interaction with industry practitioners made during the first phase of the OECD project (Table 1). The examples are not meant to represent “best practices” but were selected to illustrate the diversity of eco-innovation, its processes and the different contexts of its realisation. 4 Following is an overview of the examination of each sector’s general practices and examples according to the proposed eco-innovation framework. A few notable examples are illustrated in boxes. 4 For detailed information on each example, see OECD (2010).
364 T. Machiba The automotive and transport industry is taking steps to reduce CO2 emissions and other environmental impacts, notably those associated with fossil fuel combustion. Combined with the growing demand for mobility, particularly in developing economies, many eco-innovation initiatives have focused on increasing the overall energy efficiency of automobiles and transport, while heightening automobile safety. Eco-innovations have, for the most part, been realised through technological advances, typically in the form of product or process modification and re-design, such as more efficient fuel injection technologies, better power management systems, energy-saving tyres and optimisation of painting processes. Yet, there are indications that the understanding of eco-innovation in this sector is broadening. Alternative business models and modes of transport such as the bicycle– sharing scheme in Paris (Box 1) are being explored, as are new ways of dealing with pollutants from manufacturing processes of automobiles. The iron and steel industry has in recent years substantially increased its environmental performance through a number of energy-saving modifications and the re-design of various production processes. These have often been driven by In an attempt to reduce traffic congestion and improve air quality, the City of Paris introduced a selfservice bicycle-sharing system Vélib’ in the summer of 2007. The system consists of some 1 750 stations located in conjunction with metro and bus stations and open 24 hours a day year round, each containing 20 or more bike spaces. This amounts to about one station every 300 metres throughout the inner city, with a total of 23 900 bicycles and 40 000 bicycle racks. Each station is equipped with an automatic rental terminal at which people can hire a bicycle through different subscription options. Subscriptions can be purchased for a small fee by the day, week or year and can be linked to the “swipe and enter” Navigo card used for the city’s metro and bus system. A subscription allows the user to pick up a bicycle from any station in the city and use it at no charge for 30 minutes. After that a charge is incurred for additional time in periods of 30 minutes. The payment scheme was designed to keep bicycles in constant circulation and increase intensity of use. To facilitate circulation, bicycles are redistributed every night to stations which have particularly high demand. Real-time data on bicycle availability at every station is provided through the Internet and is also accessible via mobile phones. The start-up financing for the Vélib’ project, as well as full-time operation for 10 years and associated costs, was undertaken entirely by the JC Decaux advertising company. In return, the City of Paris transferred full control of a substantial portion of the city’s advertising billboards to this company. The Vélib’ system has been considered as a great success and taking bicycles is also becoming fashionable. Part of this success is due to the system’s design, with its strong focus on flexibility, availability and, not least, ease of use. By October 2009, the number of annual subscribers has reached 147 000, and between 65 000 and 150 000 trips are being made each day. The system was extended to 30 neighbour boroughs in the suburbs by the summer 2009. Building on this success, the city is now planning to expand the project with about 4 000 self-service electric hire cars (named Autolib’) by the beginning of 2011. Box 1 Vélib’: Self-service bicycle-sharing system in Paris
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